Australia raises concerns over AI misuse on X

The eSafety regulator in Australia has expressed concern over the misuse of the generative AI system Grok on social media platform X, following reports involving sexualised or exploitative content, particularly affecting children.

Although overall report numbers remain low, authorities in Australia have observed a recent increase over the past weeks.

The regulator confirmed that enforcement powers under the Online Safety Act remain available where content meets defined legal thresholds.

X and other services are subject to systemic obligations requiring the detection and removal of child sexual exploitation material, alongside broader industry codes and safety standards.

eSafety has formally requested further information from X regarding safeguards designed to prevent misuse of generative AI features and to ensure compliance with existing obligations.

Previous enforcement actions taken in 2025 against similar AI services resulted in their withdrawal from the Australian market.

Additional mandatory safety codes will take effect in March 2026, introducing new obligations for AI services to limit children’s exposure to sexually explicit, violent and self-harm-related material.

Authorities emphasised the importance of Safety by Design measures and continued international cooperation among online safety regulators.

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AI-powered toys navigate safety concerns after early missteps

Toy makers at the Consumer Electronics Show highlighted efforts to improve AI in playthings following troubling early reports of chatbots giving unsuitable responses to children’s questions.

A recent Public Interest Research Group report found that some AI toys, such as an AI-enabled teddy bear, produced inappropriate advice, prompting companies like FoloToy to update their models and suspend problematic products.

Among newer devices, Curio’s Grok toy, which refuses to answer questions deemed inappropriate and allows parental overrides, has earned independent safety certification. However, concerns remain about continuous listening and data privacy.

Experts advise parents to be cautious about toys that retain information over time or engage in ongoing interactions with young users.

Some manufacturers are positioning AI toys as educational tools, for example, language-learning companions with time-limited, guided chat interactions, and others have built in flags to alert parents when inappropriate content arises.

Despite these advances, critics argue that self-regulation is insufficient and call for clearer guardrails and possible regulation to protect children in AI-toy environments.

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Teen victim turns deepfake experience into education

A US teenager targeted by explicit deepfake images has helped create a new training course. The programme aims to support students, parents and school staff facing online abuse.

The course explains how AI tools are used to create sexualised fake images. It also outlines legal rights, reporting steps and available victim support resources.

Research shows deepfake abuse is spreading among teenagers, despite stronger laws. One in eight US teens know someone targeted by non-consensual fake images.

Developers say education remains critical as AI tools become easier to access. Schools are encouraged to adopt training to protect students and prevent harm.

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UK considers regulatory action after Grok’s deepfake images on X

UK Prime Minister Keir Starmer is consulting Canada and Australia on a coordinated response to concerns surrounding social media platform X, after its AI assistant Grok was used to generate sexualised deepfake images of women and children.

The discussions focus on shared regulatory approaches rather than immediate bans.

X acknowledged weaknesses in its AI safeguards and limited image generation to paying users. Lawmakers in several countries have stated that further regulatory scrutiny may be required, while Canada has clarified that no prohibition is currently under consideration, despite concerns over platform responsibility.

In the UK, media regulator Ofcom is examining potential breaches of online safety obligations. Technology secretary Liz Kendall confirmed that enforcement mechanisms remain available if legal requirements are not met.

Australian Prime Minister Anthony Albanese also raised broader concerns about social responsibility in the use of generative AI.

X owner Elon Musk rejected accusations of non-compliance, describing potential restrictions as censorship and suppression of free speech.

European authorities requested the preservation of internal records for possible investigations, while Indonesia and Malaysia have already blocked access to the platform.

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Indonesia and Malaysia restrict access to Grok AI over content safeguards

Malaysia and Indonesia have restricted access to Grok, the AI chatbot available through the X platform, following concerns about its image generation capabilities.

Authorities said the tool had been used to create manipulated images depicting real individuals in sexually explicit contexts.

Regulatory bodies in Malaysia and Indonesia stated that the decision was based on the absence of sufficient safeguards to prevent misuse.

Requests for additional risk mitigation measures were communicated to the platform operator, with access expected to remain limited until further protections are introduced.

The move has drawn attention from regulators in other regions, where online safety frameworks allow intervention when digital services fail to address harmful content. Discussions have focused on platform responsibility, content moderation standards, and compliance with existing legal obligations.

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Instagram responds to claims of user data exposure

Reports published by cybersecurity researchers indicated that data linked to approximately 17.5 million Instagram accounts has been offered for sale on underground forums.

The dataset reportedly includes usernames, contact details and physical address information, raising broader concerns around digital privacy and data aggregation.

A few hours later, Instagram responded by stating that no breach of internal systems occurred. According to the company, some users received password reset emails after an external party abused a feature that has since been addressed.

The platform said affected accounts remained secure, with no unauthorised access recorded.

Security analysts have noted that risks arise when online identifiers are combined with external datasets, rather than originating from a single platform.

Such aggregation can increase exposure to targeted fraud, impersonation and harassment, reinforcing the importance of cautious digital security practices across social media ecosystems.

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BBC launches media literacy series for teenagers

BBC Children’s and Education has launched Solve The Story, a new series tackling online misinformation among teenagers. The six-part programme is designed for classroom use across UK schools.

The British series follows research showing teachers lack resources to teach critical thinking effectively. Surveys found teenagers struggle with online content volume, while one in three teachers find media literacy difficult to deliver.

Solve The Story uses mystery-style storytelling to help pupils question sources, spot deepfakes and challenge viral claims. Each episode includes practical classroom guides supporting teachers and lesson planning.

BBC figures say two thirds of teenagers worry about fake news causing confusion and stress. Educators argue AI-driven misinformation makes structured media literacy support increasingly urgent.

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EU instructs X to keep all Grok chatbot records

The European Commission has ordered X to retain all internal documents and data on its AI chatbot Grok until the end of 2026. The order falls under the Digital Services Act after concerns Grok’s ‘spicy’ mode enabled sexualised deepfakes of minors.

The move continues EU oversight, recalling a January 2025 order to preserve X’s recommender system documents amid claims it amplified far-right content during German elections. EU regulators emphasised that platforms must manage the content generated by their AI responsibly.

Earlier this week, X submitted responses to the Commission regarding Grok’s outputs following concerns over Holocaust denial content. While the deepfake scandal has prompted calls for further action, the Commission has not launched a formal investigation into Grok.

Regulators reiterated that it remains X’s responsibility to ensure the chatbot’s outputs meet European standards, and retention of all internal records is crucial for ongoing monitoring and accountability.

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New York launches 2026 with new AI proposals

New York is beginning 2026 with a renewed push to shape how AI is used, focusing on consumer protection while continuing to attract major tech investment. The move follows the recent signing of the RAISE Act, a landmark law aimed at enhancing safety standards for advanced AI models, and signals that state leaders intend to remain active in AI governance this year.

Governor Kathy Hochul has unveiled a new package of proposals, primarily aimed to protecting children online. The measures would expand age verification requirements, set safer default settings on social media platforms for minors, limit certain AI chatbot features for children, and give parents greater control over their children’s financial transactions. The proposals, part of Hochul’s annual ‘State of the State’ agenda, must still pass the state legislature before becoming law.

At the same time, New York is positioning itself as a welcoming environment for AI and semiconductor development. Hochul recently announced a $33 million research and development expansion in Manhattan by London-based AI company ElevenLabs.

In addition, Micron is expected to begin construction later this month on a massive semiconductor facility in White Plains, part of a broader $100 billion investment plan that underscores the state’s ambitions in advanced technology and manufacturing.

Beyond child safety and economic development, state officials are also focusing to how algorithms impact everyday costs. Attorney General Letitia James is investigating Instacart over allegations that its pricing systems charge different customers different prices for the same products.

The probe follows the implementation of New York’s Algorithmic Pricing Disclosure Act, which took effect late last year, requiring companies to be more transparent about the use of automated pricing tools.

The attorney general’s office is also examining broader accountability issues tied to AI systems, including reports involving the misuse of generative AI. Together, these actions underscore New York’s commitment to addressing voter concerns regarding affordability, safety, and transparency, while also harnessing the economic potential of rapidly evolving AI technologies.

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X restricts Grok image editing after deepfake backlash

Elon Musk’s platform X has restricted image editing with its AI chatbot Grok to paying users, following widespread criticism over the creation of non-consensual sexualised deepfakes.

The move comes after Grok allowed users to digitally alter images of people, including removing clothing without consent. While free users can still access image tools through Grok’s separate app and website, image editing within X now requires a paid subscription linked to verified user details.

Legal experts and child protection groups said the change does not address the underlying harm. Professor Clare McGlynn said limiting access fails to prevent abuse, while the Internet Watch Foundation warned that unsafe tools should never have been released without proper safeguards.

UK government officials urged regulator Ofcom to use its full powers under the Online Safety Act, including possible financial restrictions on X. Prime Minister Sir Keir Starmer described the creation of sexualised AI images involving adults and children as unlawful and unacceptable.

The controversy has renewed pressure on X to introduce stronger ethical guardrails for Grok. Critics argue that restricting features to subscribers does not prevent misuse, and that meaningful protections are needed to stop AI tools from enabling image-based abuse.

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